Canada’s main stock index muscled higher on Monday due to wider losses led by real estate and telecom shares, while investors parsed key domestic data that failed to quell concerns about a weaker economy.
The TSX climbed 149.5 to close Monday at 24,748.98, after a week in which the index gave back 2.9%.
The Canadian dollar folded 0.04 cents to 69.59 cents U.S.
In corporate news, Unifor said on Sunday its members at Canadian National Railway have ratified a new four-year collective agreement, averting a potential strike action. CN shares gained $1.53, or 1.1%, to $146.87.
Elsewhere, the healthcare sector rose, boosted by Tilray Brands, which surged 26 cents, or 14.6%, to $2.04, as the cannabis firm extended its gains from the previous session.
Payfare climbed $1.68, or 79.6%, to $3.79 after U.S. fintech firm Fiserv confirmed its acquisition of the Canadian company in a $201.5 million deal as it looks to expand payments offerings for gig-economy workers, the companies said on Monday.
Energy stocks surged, with Paramount Resources pointed higher $1.76, or 6%, to $31.00, while Kelt Exploration shares rumbled 27 cents, or 4.3%, higher, to $6.51.
Among utility issues, TransAlta advanced 43 cents, or 2.2%, to $20.32, while Brookfield Infrastructure Partners tacked on 89 cents, or 2%, to $45.98.
Communications stocks weighed on things, with BCE fading 52 cents, or 1.6%, to $32.76, while Telus took on 22 cents, or 1.1%, to $19.70.
In real-estate, units of Crombie REIT dipped 34 cents, or 2.5%, to $13.46, while StorageVault Canada dropped seven cents, or 1.8%, to $3.92.
In consumer discretionary stocks, BRP Inc. subsided $2.51, or 3.3%, to $73.12, while Aritzia fell 92 cents, or 1.7%, to $53.03.
Economically speaking, Statistics Canada said real gross domestic product increased 0.3% in October as there were increases in both services-producing and goods-producing industries, while the Industrial Product Price Index increased 0.6% month over month in November and rose 2.2% on a yearly basis. StatsCan’s raw materials price declined 0.5% month over month in November and increased 2.0% year over year.
ON BAYSTREET
The TSX Venture Exchange regained 3.07 points Monday to 589.84.
All but three of the 12 TSX subgroups were higher, with health-care haler 3.5%, energy stronger by 1.8%, and utilities up 0.7%.
The three laggards proved to be communications, down 0.9%, real-estate, sliding 0.7%, and consumer discretionary stocks, falling 0.3%.
ON WALLSTREET
Stocks rose on Monday to start a holiday-shortened trading week as the continuous strength in technology names helped the broader market.
The Dow Jones Industrials regrouped 66.69 points to close at 42,906.95.
The S&P 500 index recovered 43.22 points to 5,974.07
The NASDAQ rocketed 192.29 points, or 1%, to 19,700, as Tesla and Meta Platforms added more than 2% and Nvidia climbed more than 3%.
MicroStrategy slid 8.8%, on the stock’s first day of inclusion in the NASDAQ index.
Trading is expected to be relatively muted during the week. The New York Stock Exchange closes early Tuesday for Christmas Eve at 1 p.m. ET, and the market will be shut on Christmas Day.
Weak economic data seemed to sour the sentiment. The Conference Board’s consumer confidence index for December fell to 104.7, its lowest level since September and below a Dow Jones estimate of 113.0. Meanwhile, orders for durable goods — generally big-ticket items such as aircraft, appliances and computers — fell 1.1% in November, the largest month over month drop since June.
Investors were hopeful that a so-called Santa Claus rally may help the market end 2024 on a high note, especially following a tumultuous week. Dating back to 1969, the S&P 500, on average, added 1.3% in the last five trading days of the year and the first two in January, according to the Stock Trader’s Almanac.
The second half of December is also typically the second-strongest period of the year for U.S. equities, and the S&P 500 has been up 83% of the time in December of presidential election years, according to Bank of America.
Prices for the 10-year Treasury sank a bit, lifting yields to 4.59% from Friday’s 4.53%. Treasury prices and yields move in opposite directions.
Oil prices eked higher three cents to $69.49 U.S. a barrel.
Prices for gold paled $18.40 an ounce to $2,626.70 U.S.